Philips to buy EEG technology manufacturer for approximately €32.9 million

Royal Philips announced an agreement on Thursday to acquire Electrical Geodesics Inc. for approximately EUR 32.9 million.

The company will combine its imaging technologies and advanced informatics for neurology with EGI's EEG hardware, software and acquisition sensors to establish a neurological imaging, mapping and therapy guidance portfolio.

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The diagnostic imaging and clinical informatics are for evaluating brain anatomy and physiological process and the EEG mapping tools are for measuring electrical brain activity.

This new portfolio will allow Philips to address prevalent neurological disorders like stroke, epilepsy, traumatic brain injury and Parkinson's disease.

“In order to improve the treatment for some of the most complicated, life altering neurological disorders, we need more personalized and adaptive guidance tools to plan each individual patient’s therapeutic options”, Joe Burnett, business leader of neuro diagnostics at Philips, said in a statement.

EGI's flagship product is its proprietary dense array EEG platform technology, which collects data on brain activity from more electrodes than traditional EEG products. It has regulatory clearance in the U.S., Europe and other major regulatory bodies.

EGI is based in Eugene, Oregon and has a team of about 90 employees. In 2016, it generated $14.3 million in sales.

The acquisition is subject to customary closing conditions including approval from EGI stockholders, but is expected to be completed in the third quarter of this year.